Villas Boas' side began the season strong before hitting a patch of poor form that now leaves them in 7th place. Sunday's loss was the second big hit this month to Villas Boas after an even larger loss to Manchester City.
Tottenham delivered a brief statement about the decision: "The club can announce that agreement has been reached with Head Coach, Andre Villas-Boas, for the termination of his services.
"The decision was by mutual consent and in the interests of all parties."
"We wish Andre well for the future.
"We shall make a further announcement in due course."